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What Is The Discover Chargeback Reason Code RG – Non-Receipt of Goods, Services, or Cash?
Discover chargeback reason code RG – Non-Receipt of Goods, Services, or Cash is used when a cardholder disputes a transaction because they didn't receive the goods, services, or cash they paid for. This can happen if an order gets lost in transit, a service appointment is missed, or an ATM fails to dispense cash. If you're a merchant facing this chargeback, you'll need to check your records, gather proof of delivery or service completion, and submit this evidence to Discover. The resolution process usually takes about 60 to 90 days, allowing for a thorough review and fair decision.
Common Causes Of Discovers' RG – Non-Receipt of Goods, Services, or Cash
Discover chargeback reason code RG is used when a cardholder disputes a transaction because they didn’t receive the goods, services, or cash they paid for. This can happen for several reasons:
Goods Not Delivered: The customer ordered products that never arrived, either because they were lost in transit or never shipped.
Services Not Rendered: The customer paid for services that were never provided, such as a canceled event or a service appointment that was missed.
Cash Not Dispensed: In cases involving ATM transactions, the cardholder might claim that the ATM didn’t dispense the cash even though their account was debited.
Example Scenario of RG – Non-Receipt of Goods, Services, or Cash
Imagine a customer orders a laptop from your online store, but it never arrives due to a shipping error. The customer contacts Discover and disputes the charge under reason code RG – Non-Receipt of Goods, Services, or Cash.
To handle this, you would review your shipping records, find the tracking information, and discover that the package was lost in transit. You would then provide this evidence to Discover, showing that the item was shipped. To resolve the issue, you might also reship the laptop to the customer or issue a refund.
Resolution Time Frame for Discover Chargeback Reason Code RG – Non-Receipt of Goods, Services, or Cash
The resolution time frame for Discover chargeback code RG – Non-Receipt of Goods, Services, or Cash generally involves several steps, each with its own timeline. Here’s a breakdown of the typical process:
Chargeback Filing: When a cardholder disputes a transaction for non-receipt of goods, services, or cash, Discover initiates the chargeback process. This usually happens shortly after the cardholder reports the issue.
Merchant Response Time: Once the chargeback is issued, the merchant is notified and given an opportunity to respond. Discover generally allows merchants up to 30 days to gather and submit evidence to support their case. This evidence might include shipping records, delivery confirmations, service logs, and any communication with the customer.
Review and Decision: After the merchant submits their evidence, Discover reviews the information provided. This review period typically takes around 30-45 days. During this time, Discover assesses the validity of the merchant’s evidence and determines whether the chargeback should be reversed or upheld.
Final Resolution: The entire process, from the initial dispute to the final decision, can take anywhere from 60 to 90 days. If the merchant’s evidence shows that the goods were delivered or services were provided, the chargeback may be reversed. If the evidence supports the cardholder’s claim, the chargeback stands, and the cardholder keeps the funds.
How to Avoid Chargeback Reason Code RG – Non-Receipt of Goods, Services, or Cash
To minimize these disputes, consider these proactive measures:
Reliable Shipping: Use reliable shipping services and always provide tracking information to customers.
Clear Communication: Keep customers informed about their order status and any potential delays. Confirm appointments and service schedules to avoid misunderstandings.
Documentation: Maintain thorough records of all transactions, shipments, and services provided. This helps in quickly resolving disputes.
How to Fix Chargeback Reason Code RG – Non-Receipt of Goods, Services, or Cash
If you receive a chargeback under code RG, here’s what you should do:
Verify the Claim: Check your records to see if the goods or services were indeed delivered or provided. For goods, look at shipping logs and delivery confirmations. For services, review appointment records or service logs.
Gather Documentation: Collect all relevant documents that can prove the delivery or completion of services. This might include tracking numbers, delivery receipts, customer communication, and service logs.
Submit Evidence: Provide this evidence to Discover promptly. Clearly explain the situation and provide documentation showing that the goods were delivered or the services were rendered.
Communicate with the Customer: Sometimes, resolving the issue directly with the customer can prevent the chargeback from proceeding. Reach out to the customer to clarify the situation and, if necessary, offer a resolution like reshipping the goods or rescheduling the service.
